2 Tips When Buying a Home in a Buyer's Market

For anyone interested in either buying their first home, upgrading their current address or even downsizing their empty nest, a buyer’s market is an awesome opportunity. But, don’t let that potential cause you to get complacent. While it is true that some people stumble “accidentally” onto the occasional incredible deal, the vast majority of prospective homebuyers need to be focused and active – if not aggressive – in their search for a new home.

Sure, the real estate market looks amazing now for homebuyers. Great selection and tons of incredible deals still to be had out there. But that doesn’t mean prices will drop any further, nor does it mean that the home you want will stick around on the market waiting for you to come snatch it up. Persistence – and vigilance – pays off…in any market.

So, what can you do to better your chances of finding your perfect home at the right price in a buyer’s market? Here are 2 to help you protect your interests in a buyer’s market.

#1 – Use Technology

Sites like Zillow.com offer a home’s market value “Zestimate” and can help give you an idea of a property’s current market value. Keep in mind that technology cannot replace a good buyer’s agent for perspective and actionable advice, and these home estimates are in no way set in stone, but it is another tool a buyer can utilize to get to know an area a bit before making an offer.

Take the opportunity to look up the neighborhood on Google Maps. Get a feel for the quality of the neighborhood. Are other houses and yards in good condition? How wide are the streets? What sort of shopping or restaurants or schools is the property close to? Are there biking trails, parks and sidewalks where you want them? A quick Google maps satellite view can help answer these and many other questions.

#2 – Skip the Gimmicks

Are you shopping for a house or a used car? Sometimes, in the current market, it’s tough to tell. Some sellers are trying all sorts of things to stand out in the crowd of homes available. Some ideas are terrific and offer real value to prospective buyers. Others, not so much. Some “incentives” should send your antennae up. Ask yourself – and have your buyer’s agent ask them – what’s up with the gimmick? How desperate are they to sell…and why. Sometimes the reasons make sense. They’re moving or trying to sell a home for a parent or need to get out from under an upside down mortgage. Other times the gimmicks are used to conceal real issues that have kept the property from selling.

So, what should you look for? First, does the incentive being offered have anything to do with the property itself? New floors or countertops? Upgraded lighting? Updates to the appliances? These are reasonable potential incentives that translate into real added value. A new TV set or lawnmower does not. Second, take a look at the days on the market as well as the prices and condition of the surrounding homes. If homes in the area are having a hard time selling, find out why before making a move.
Keep these tips in mind and a good REALTOR on speed dial, and you will put yourself into a much better position when it comes time to make an offer on your next home.

Contact me today for a free Home Buyer's Toolkit or to talk about real estate in your neighbourhood.